Is is more profitable to build a Carrier from BPCs or BPOs? That question was the initial spark that started my interest in capital production in 2011. Using a BPC copy pack from the market was hardly profitable so I made a plan to own and operate a set of capital BPOs.
Over time as profits started to materialize, more BPOs were purchased to round out production queues. Carrier success then started to bleed into Dreadnought production. With the upcoming industry changes in the Crius expansion, the fate of my capital operation is unknown so I have paused the project.
Here are the final numbers for almost 3 years (2.93 to be exact) of capital production. Note that Dreadnought production was a recent addition, only starting in mid-2013. Special tribute goes to my industry partner, Raath, as he was the lead on this massive project.
tl;dr Build Naglfars and Archons.
Naglfar sales in Delve outperformed all other types and regions yet showed the most standard deviation.
The Naglfar outperformed every other hull type when it came to profitability per time period. This is due to the balance update it received in the Odyssey update where it became a viable doctrine ship. The Archon, due to the popularity of the Slowcat doctrine, was also solid performer.
After waiting for a few research jobs to finish up, I tore down the Highsec research POS and consolidated all the materials used for capital production. I am not sure about the viability of Lowsec capital production with the upcoming changes in the Crius expansion slated for July 22nd.
Presently I have more questions than answers.
- How is the mandated refine differential between High-Low-Null going to affect build prices?
- Will Low-Null mining become a profession that can compete with ore import costs from Highsec?
- How will the general population buy capitals if the majority of them start to be delivered in sovereign Nullsec space?
- Are the logistics of moving compressed ore from Highsec into Low-Null going to be worth the ::effort::?
- Will capital prices eventually trend upward due to the lack of construction in Lowsec and cause Lowsec operations to become competitive with Nullsec?
- Will Nullsec entities provide protection for large-scale mining operations in their space?
- Will a competitive NPC Nullsec-Lowsec market spring up around major construction hubs?
I haven’t had the time or inclination to research these topics in depth; I hope to become motivated when the Crius changes start to hit the test server.
Given the growing popularity of Naglfar and Revelation hulls, I made a decision to expand the Dreadnought production line by adding more blueprints. The total for 2x Naglfar, 1x Revelation, and additional component BPOs to balance the ratio of blueprints came out to 10.397 B.
Four component BPOs were needed to balance out the ratios of our current Carrier and Dreadnought line. Calculations for optional ratios can be found from this post when we started building Carriers.
With the stabilization of the Fountain and Delve regions over the past few months, the amount of sales we have seen in our building system have decreased. Raath made a command decision to leave the region in search for greener pastures.
Our time in G-TT5V spanned 385 days where we built 162 capital hulls to sell on the local market. Our sales totaled 221.4 B ISK with a total profit coming in at 43.3 B. Performance metrics show a margin of 4.1%, an average of 3.4 B per month in profit, and a velocity of 5.06 hulls moved per week.
Given the balance changes to the Naglfar hull that came in the Odyssey update, we have seen a very strong demand the the hull; it is not a surprise that it has been a top performer. If you want to mass build, pick the Archon or Thanatos.
After two months of Eve downtime to move across the country to start a new job, I wanted to report on how Capital sales have been performing as Raath has been leading the construction of capitals hulls in my absence.
Looking at sales from 2012-06 to 2013-11, we are faced with shrinking margins on Carriers. With 139 data points covering over a year of sales, I think it is fairly easy to justify a trend from the data. The highest demand we saw was when TEST was defending Fountain, as the Slowcat doctrine was a training goal for a lot of pilots.
We have a much smaller dataset to work with for Dreadnoughts as the BPOs and workflow for incorporating them into the production line was a fairly recent addition. With only six months of sales data, it is hard to draw a strong conclusion but the margins look to be holding stronger than Carriers. I attribute a lot of our strong numbers holding Dreadnoughts up primarily due to the Naglfar rebalance in the Odyssey expansion; their profit margins are holding up around 40% on average due to demand, and plus it is cool vertical hull.
Note: we are not building the Phoenix hull due to general terribleness.
In the Odyssey patch the split weapon system was removed from the Naglfar hull bringing with it increased demand for the Dreadnought hull. Having just come into possession of a ME8 BPO, we quickly put it into production as I knew the demand was going to grow.
What we’ve seen over the past 5 months due to the increased demand was a large increase in the price. Sales have been quick showing that there is a strong demand.
The capital market is quite different than any other market I have worked with. The barrier to entry is high due to the core profits coming from owning a complete set of BPOs, the timescale is measured in weeks due to the building of parts that go into hull construction, and the demand can shift due to a change in popularity.
In contrast to the Cruiser market where a single BPO can make the hull, a unit can be delivered in 2 hours, and almost all of the hulls are in demand, the differentiators set capital production in a league of its own.
Project has been running now for 239.5 days and has generated 33.2 B in profit averaging 304.9 M/hull with a sale every 2.19 days.
War is Good for Business
I am positioned to sell to anyone due to my building location as it is not a sovereign station. There was a noticeable uptick in armament when the Fountain campaign was announced in late April of 2013.